New NICOL managers take over

At last, the National Investments Company Limited’s (NICOL) old management under Kathleen Armstrong as the Chief Executive Officer has been evicted from the office it had been illegally occupying since the installation of a new administration early last year.

Ilala District Land and Housing Tribunal issued an order on November 5, 2013, granting the request by the new management under NICOL Interim Manager, Kanoni Adam Wamunza.

The order directed to Ilala Regional Police Commander reads: “You are commanded to assist Mwangati Auction Mart and Tribunal Broker to execute the order in a peaceful and orderly manner by calling in police officers to ensure safety during the process.

It is so ordered.” Advocate Benjamin Mwakagamba of BM Attorney, for NICOL, informed the ‘Daily News’ yesterday that the new management has already occupied the companies office located at Raha Tower building, second floor on Maktaba and Bibi Titi Mohamed streets in Dar es Salaam.

In his affidavit to support the application filed before the Tribunal, Mr Wamunza said that in 2011, the Capital Market Security Authority suspended NICOL’s board of directors and the Chief Executive Officer over the unsatisfactory manner in which the company’s board was managing its affairs.

He alleged that there was failure to submit to the relevant authority timely financial statements, non-engagement of a Fund Manager or establishment of an independent investment committee to advise the company on its investments.

Such failure, Mr Wamunza said, resulted in the company investing in ailing ventures as well as investments that were related or affiliated to the individual board members.

On April 14, last year, shareholders of NICOL appointed an interim management to take over the management from the old administration, pending restructuring and putting in place a permanent management.

Until now, he alleged, the interim management is in full control of NICOL affairs. Despite the fact that the interim management has been given the mandate to run the daily affairs of the company, the respondent (Kathleen Armstrong) locked out the company’s officers and could not be traced as she is a foreigner.

“The interim manager could not even sort out various claims against NICOL because he could not access the office for the purpose of verification of the claims,” reads part of the affidavit.

Mr Wamunza said further that the shareholders, the Ministry of Finance, under the Capital Market Security Authority, auditors and BRELA have registered their concerns regarding the lack of the financial report which could not be done without access to the office.

Furthermore, he said that the former management had failed to pay the office rent which accumulated to 301,728,600/55, an amount that was paid by the applicant (Interim Manager) on October 22, this year, as acknowledged by the landlord, Ismail Property Limited.
Source: Daily News, reported from Dar es Salaam, Tanzania

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